Skip to main content

Why Do Doctors Need Medical Malpractice Insurance?



Insurance of any kind is a fund that is paid regularly to offset any damage (claimed or proven) that others claim against you. For instance, you have car insurance in case someone is injured or if you recklessly hit another car. Medical malpractice insurance is insurance doctors pay in case someone is injured or sues them for something that happens during the operation of their business.

The Cost of Medical Malpractice Insurance

Like everything else, insurance costs rise based on the several factors, including inflation. However, due to the increased number of claims over the past several decades, healthcare professionals have found the prices of medical malpractice insurance to be prohibitive, and in many instances, the increase in insurance rates is passed on to patients. In some cases, the prices are so high that doctors have left their practices; other, more optimistic healers are limiting their practices to the safest and lowest-rated insurance risks.

The Need for Medical Malpractice Insurance

Many patients feel they have been wronged by the medical profession in some way and seek the counsel of medical malpractice lawyers and attorneys. Some attorneys are just really good at behaving like a nuisance-they file so many claims that doctors find it easier to settle the claims out of court, rather than risk being put on trial. Many times, wronged patients are willing to settle claims for $50,000 or $150,000, which is small change to the medical malpractice insurance company. However, the cost of the doctor's medical malpractice insurance premium goes up substantially, just as it does when you report an accident to your car insurer.

Why Does Medical Malpractice Insurance Cost So Much?

We are currently in the middle of a long-term healthcare cycle-the higher the cost of medical malpractice insurance, the higher the price of healthcare. The more a patient pays for healthcare, the more they feel the need to sue for outrageous judgments. Sometimes the awards are so high that there is no possible way that anyone will ever receive full payment; however, juries feel the need to set exorbitant awards to "teach" the providers a lesson. In some cases, judges have overturned or otherwise amended the awards. The only result of these awards is forcing a doctor (possibly) out of business-if he (or his medical malpractice insurance company) is expected to pay a multi-million dollar settlement.

Popular posts from this blog

Medical Billing Careers

Medical billing careers are among the top contenders of the recent job explosion in the healthcare industry. In fact, the Bureau of Labor Statistics states that it is one of the top twenty occupations in healthcare. Medical billing careers are pivotal to the success of the medical practice. It is often referred to as the doctor's key to getting paid for the services he rendered. Medical billing careers encompass a wide scope and a broad range of responsibilities as it includes front office tasks, among others, in its list of things to do. Nature of Work Success in medical billing careers is not as easy as it is often made out to be by those ads you see in the classified section of the local newspaper or the Internet. Not everyone who enters into one end up rich. Competition is fierce and in the end, the competent ones are the only ones who survive. To achieve some measure of success in medical billing careers, you will need to know all the basic concepts related to the jo...

Billing Insurance Medical Software

The process of selecting billing insurance medical software for a medical office or clinic can be overwhelming and time-consuming. There are just too many billing insurance medical software packages available out there; it's hard to make up your mind. In addition, compliance to strict guidelines regarding the privacy and security of patient records and information is required by the Health Insurance Portability and Accountability Act of 1996 (HIPAA). That makes it even harder to find a billing insurance medical software program that hits every aspect of the target. Finding the right type of billing insurance medical software can spell the difference between a good service and a bad one. In fact, the type of billing insurance medical software used in an office or clinic can greatly influence its bottom line. Its effect even embraces such things as business efficiency and employee turnover. There are also hidden costs to billing insurance medical software and they can often...

Medical Billing Jobs

Medical billing jobs are increasingly becoming one of the fastest growing careers in the employment market. It's not that medical billing jobs are easy because it's not. The job calls for complicated tasks that require a truly qualified and skilled professional to handle responsibly. Medical billing jobs are more accurately defined as practice management. It is a service based on trust. Unfortunately, the very nature of medical billing jobs make it susceptible to scams that not only mislead consumers to believe that they are going to make a good profit but also destroy the image that medical billing jobs have in the face of the public. Scams are abounding these days. That is why you, as a prospective employee looking for medical billing jobs, need to be more aware and attuned to the current trends in order to avoid getting fooled. What are the responsibilities? Medical billing jobs embrace a whole range of responsibilities. These include: * Read and review medical documentation...